Do you feel like automation is only for big companies with endless budgets? As a small or medium-sized business, you might feel overwhelmed by the cost, complexity, and pace of automation technology. You may worry about not having the skills, time, or resources to make it work. It’s easy to wonder if automation is worth the risk. But here’s the truth: you don’t need a huge budget or a team of experts to get started. With the right tools and a smart plan, you can use automation to save time, cut costs, and stay ahead of the competition.
Let’s dive in.
Challenges for SMEs:
1. High Costs of Entry:
Is Automation Too Expensive?
Automation might seem out of reach for your business. You’ve probably heard about the high price tags: a collaborative robot (cobot) can cost $20,000–$50,000, while industrial robots often exceed $150,000. When you add integration and training costs, it’s easy to feel overwhelmed.
To understand the full extent of the prices of cobots and industrial robots, you can read more:
The Truth About Upfront Costs:
You don’t need to spend a fortune all at once. Many automation solutions are modular. You can start small, like automating just one repetitive task, and expand later. Did you know IoT sensor prices dropped by 37% from 2004 to 2020? This has made automation more affordable for businesses like yours.[1]
It Pays Off:
Automation saves money in the long run. It reduces labor costs, prevents errors, and boosts productivity. Many businesses see ROI within a year.[2]
Smart Funding Options:
You don’t have to go it alone. Leasing equipment or applying for government grants can ease the financial burden. These options are designed to help businesses like yours make automation a reality.
By starting small and exploring your funding options, automation becomes a realistic, cost-effective choice for your business.
2. Lack of Skilled Workforce:
Do You Have the Right Skills?
You might not have automation experts on your team—and you’re not alone. In the EU, 65% of small companies and 68% of medium-sized companies say skill shortages are a major problem.[3]
Training and Hiring Can Be Tough:
Training your team can feel like a big investment of time and money. Hiring isn’t much easier. In the UK, 75% of manufacturers report that a lack of skilled workers slows their growth.[4]
What’s the Cost of Doing Nothing?
Without skilled staff, your existing team might take on extra work. This can lead to burnout and lower productivity. Nearly 72% of businesses say this happens when they can’t fill skill gaps.[5]
How You Can Solve This:
- Upskill Your Team: Provide practical, affordable training on automation basics.
- Partner with Experts: Work with vendors who offer support and resources for SMEs.
- Start Simple: Choose automation tools that are easy to use and require minimal training.
With the right approach, you can bridge the skills gap and make automation work for your business.
3. Customization Struggles:
Do Off-the-Shelf Solutions Work for You?
You might find that standard automation tools don’t fit your unique production needs. If your processes are specialized, generic systems can cause more problems than they solve. Around 78% of SMEs face challenges in automating and digitizing their workflows to stay competitive.[6]
Example: Tailoring to Your Workflow
Imagine you run a small factory with a one-of-a-kind production line. A generic automation setup might disrupt your workflow instead of improving it. This is a common problem for smaller businesses trying to balance customization and efficiency.
How to Solve This:
- Understand Your Needs: List out what makes your process unique and what you want automation to achieve.
- Work with Specialists: Partner with vendors who can customize solutions for your setup.
- Try Modular Systems: Flexible tools like modular manufacturing systems can adapt to your workflow and scale as needed.
By focusing on adaptable, tailored solutions, you can make automation work for your unique business.
4. Fear of Downtime:
Worried About Stopping Production?
You might hesitate to automate because of the risk of halting your production line. Downtime can feel costly and stressful, especially when every hour matters. This fear isn’t uncommon—only about a third of SMEs have embraced automation, often due to concerns about disruptions.[7]
How Long Does Automation Take?
It’s normal to wonder how long setup and optimization will take. Will it drag on for weeks? Will it hurt your deadlines? These are real concerns that can delay your decision to automate.
How You Can Avoid Disruptions:
- Start Small: Automate just one process first to test the waters without major risks.
- Time It Right: Schedule installations during quieter periods or downtime.
- Work with Experts: Choose vendors who understand your concerns and offer step-by-step support.
With the right approach, you can introduce automation without disrupting your workflow. It’s about planning and finding the right fit for your business.
5. Vendor Mistrust:
Worried About Being Sold the Wrong Solution?
You might worry that vendors will sell you something too complex or unnecessary for your business. This is a common concern. Many traditional automation systems are built for large-scale manufacturers and don’t suit the needs of SMEs like yours.
Struggling to Find Trustworthy Vendors?
It’s hard to know who to trust. You might fear wasting money on a system that doesn’t work for your specific needs. This hesitation is why many SMEs delay automation.
How to Find the Right Partner:
- Do Your Homework: Look for vendors who specialize in working with SMEs and have good reviews.
- Ask for Clarity: Choose vendors who explain their solutions clearly and offer transparent pricing.
- Start Small: Test a simple, scalable solution before committing to a bigger investment.
Taking these steps will help you find a reliable partner who can deliver the right automation for your business.
Your Guide to Smarter Automation Choices:
Simplified Comparisons:
With Qviro’s Match feature, you can easily connect with suppliers and vendors that fit your automation needs. We help you cut through the confusion and find the right solution, so you can focus on what matters most—your business.
Get Answers with Alina, Your Automation Assistant:
Meet Alina, your go-to guide for automation and robotics. Alina helps you answer questions like:
- Can you automate your process?
- How much will your project cost?
- What’s the ROI for your investment?
- Can Alina communicate in your language? Yes!
You can use Alina for free to get quick, accurate answers. After five messages, all you need is a free Qviro account for unlimited access. Alina makes automation simple, giving you the confidence to take the next step in your project.
Guidance Every Step of the Way:
Not sure where to start? Our blogs, webinars, and tools explain automation in simple terms. We guide you from start to finish, so you can feel secure in choosing what’s best for your factory.
Let Qviro make automation clear, easy, and tailored to your needs.
Solutions That Work for Smaller Businesses:
Start Small and Scale Gradually:
You don’t have to automate everything at once. Start with small, modular systems. For example, adding a single robotic arm to handle repetitive tasks can make a big difference without overwhelming your budget. This approach lets you see results before committing to larger investments.
Focus on ROI:
Automation pays off. It can lower your labor costs and boost productivity. Many small businesses see returns within a year. For example, automating admin tasks can free up hours for higher-value work.
Partner with Reliable Vendors:
Choosing the right vendor is key. Platforms like Qviro help you find vendors that specialize in SME-friendly solutions. Look for customer reviews to learn from businesses like yours. These insights can help you avoid unnecessary costs and find the right fit.
Explore Low-Cost Automation (LCA):
Affordable tools can transform your operations. Consider:
- Cobots: These are cheaper and easier to use than traditional robots.
- Cloud-based tools: Automate tasks like scheduling and process management.
- Conveyor systems: Improve material handling in packaging or assembly.
Tap into Government Grants and Incentives:
Grants can reduce your costs. In the UK, small businesses can access grants between £1,000 and £5,000 for technology upgrades.[8] Research local funding options to support your automation goals.
By starting small, focusing on ROI, and exploring funding options, you can make automation affordable and effective for your business.
Real-Life Success Stories:
1. Pick-and-Place in Food Packaging:
A fresh food company implemented a high-speed robotic pick-and-place system to automate the handling of delicate products. This automation led to a 25% increase in productivity and a 25% reduction in staffing requirements, delivering a rapid return on investment.[9]
2. Manufacturing:
A manufacturing company integrated collaborative robots (cobots) into their assembly line to assist with tasks like screwing, gluing, and soldering. This implementation improved precision and consistency, leading to enhanced product quality and operational efficiency.[10]
3. Welding Automation:
A fabrication company adopted a collaborative robot for welding operations, resulting in improved cycle times by as much as 30%. This automation enhanced productivity and allowed skilled welders to focus on more complex tasks.[11]
4. Custom Footwear Manufacturing:
DB Shoes, a UK-based footwear manufacturer, employed ABB six-axis industrial robots to optimize their production processes. The robots were tasked with cutting and assembling shoe materials, handling 210 unique production programs with exceptional precision. This automation resulted in a 20% increase in production efficiency, improved product consistency, and reduced downtime. The system also provided scalability to support future expansions. The company achieved a return on investment in just 14 months, underscoring the impact of advanced robotics on SME operations. [12]
Empowering You:
Automation Doesn’t Have to Be Complicated:
You don’t need to be a tech expert to use automation. Many tools are designed to be simple and practical. For example, collaborative robots (cobots) come with pre-set programs and easy drag-and-drop controls. This means you can set them up and start using them quickly, even without technical skills.
It’s Not Just About Robots:
Automation doesn’t always mean advanced robotics. It could be digital tracking tools to monitor inventory, conveyor systems to speed up production, or scheduling software to organize tasks. These solutions are affordable, easy to use, and tailored for small businesses like yours.
Real Benefits for You:
Automation takes care of repetitive work so you can focus on managing and growing your business. It reduces mistakes, saves time, and makes your job less stressful. Even small changes, like automating one process, can make a big impact.
You don’t need to start big or overthink it. Automation is here to help you, step by step.
Conclusion:
Automation isn’t just for big companies—it’s for you and your business. Worried about costs or complexity? Start small by automating one task that takes too much time. You can scale up when you’re ready. With Alina, you can quickly see if automation works for your process, estimate costs, and calculate your ROI. Tools like Qviro connect you to trusted vendors, honest reviews, and funding options. This makes finding the right solution simpler and less stressful. Automation helps you save time, reduce costs, and stay competitive. It’s practical, accessible, and ready to help your business succeed today.
References:
- Forbes Technology Council. (2023, October 12). The growing accessibility of smart manufacturing for SMEs. Retrieved on January 14, 2025, from https://www.forbes.com/councils/forbestechcouncil/2023/10/12/the-growing-accessibility-of-smart-manufacturing-for-smes/
- Plant Automation Technology. (n.d.). Challenges and solutions in implementing industrial automation. Retrieved on January 14, 2025, from https://www.plantautomation-technology.com/articles/challenges-and-solutions-in-implementing-industrial-automation?
- European Commission. (2024, March 14). Eurobarometer: SMEs and skill shortages. Retrieved on January 14, 2025, from https://single-market-economy.ec.europa.eu/news/eurobarometer-smes-and-skill-shortages-2024-03-14_en?
- Barclays Corporate. (n.d.). Skills shortage in UK manufacturing. Retrieved on January 14, 2025, from https://www.barclayscorporate.com/insights/industry-expertise/skills-shortage-in-uk-manufacturing/?
- Open University. (2022). The Open University Business Barometer 2022. Retrieved on January 14, 2025, from https://business.open.ac.uk/barometer-2022?
- Dinnova. (n.d.). Process optimization through automation: A guide for SMEs. Retrieved on January 14, 2025, from https://dinnova.io/blog/process-optimization-through-automation-a-guide-for-smes/?
- Elite Business Magazine. (n.d.). SMEs lag behind in automation in the workplace while a third of businesses find working from home transition difficult, research shows. Retrieved on January 14, 2025, from https://elitebusinessmagazine.co.uk/analysis/item/smes-lag-behind-automation-in-the-workplace-while-a-third-of-businesses-find-working-from-home-transition-difficult-research-shows?
- SmallBusiness.co.uk. (n.d.). Where to find your £5,000 small business technology grant. Retrieved on January 14, 2025, from https://smallbusiness.co.uk/where-to-find-your-5000-small-business-technology-grant-2550830/
- LAC Conveyors & Automation. (n.d.). Robotic pick-and-place cell for the fresh food industry. Retrieved on January 15, 2025, from https://www.lacconveyors.co.uk/case-studies/robotic-pick-and-place-cell-for-the-fresh-food-industry
- FrozeNet. (n.d.). The rise of collaborative robots (cobots) in SMEs: Boosting productivity and efficiency. Retrieved on January 15, 2025, from https://frozenet.com/industry-innovations/automation-technologies/the-rise-of-collaborative-robots-cobots-in-smes-boosting-productivity-and-efficiency
- Montreal Robot. (n.d.). Beyond automation: The business case for cobot-integrated welding. Retrieved on January 15, 2025, from https://www.montrealrobot.com/post/beyond-automation-the-business-case-for-cobot-integrated-welding
- ABB Robotics. (n.d.). DB Shoes case study. Retrieved on January 15, 2025, from https://library.e.abb.com/public/bede4c8d5d314fa985f75bb7e445f374/DBS%20Case%20Study.pdf
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